33 Don’ts in Preparing to File Bankruptcy.
1. Don’t use your credit cards.
2. Don’t run up your credit cards in advance of filing bankruptcy.
3. Don’t take Credit Card Cash Advances.
4. Don’t use convenience checks.
5. Don’t do balance transfers.
6. Don’t write bad checks.
7. Don’t borrow money.
8. Don’t take out “payday loans”.
9. Don’t pay money to Family.
10. Don’t pay money to Friends.
11. Don’t give or gift property to anyone.
12. Don’t accept gifts that could put your income above median.
13. Don’t pay more than $600 on any past due bill.
14. Don’t transfer property to anyone.
15. Don’t cash out retirement plans or 401k’s.
16. Don’t hide assets or debts.
17. Don’t omit or ‘save’ a credit card for after your bankruptcy.
18. Don’t fail to list debt to family or other “insiders.”
19. Don’t gamble.
20. Don’t put your money in someone else’s bank account.
21. Don’t put your name on someone else’s bank account (unless you are clearly identified as custodian, power of attorney or POD).
22. Don’t make major financial decisions without talking to your attorney.
23. Don’t tell a creditor that you intend to pay when you don’t.
24. Don’t leave assets off of your paperwork.
25. Don’t file if you are about to receive a tax refund or inheritance. Discuss the timing with your attorney.
26. Don’t fail to tell your attorney about your small business, sole proprietorship, partnership, LLC, LLP, LC, corporation, or hobby.
27. Don’t purchase a home shortly before filing bankruptcy without consulting your attorney.
28. Don’t take out a second mortgage.
29. Don’t forget to tell your attorney about liens you may have on your home or unpaid judgments so they can be avoided.
30. Don’t get married before filing if your spouse has a high income.
31. Don’t misrepresent facts to your attorney.
32. Don’t hide from your attorney. Keep him up to date with your address, phone number, and email address.
33. Don’t keep money in a bank account at a bank to which you are indebted.
This website does not create an attorney-client relationship. The information on this website does not constitute legal advice. You are urged to obtain the advice of an experienced bankruptcy attorney regarding your personal situation.